Consolidated first quarter revenues for Apollo Tyres' Indian and International Operations - grew 24% to INR16.3bn.

Net sales were up 9.7% to INR11.8bn, operating profit soared 75.9% to and net profit was up 95% to INR946.7m.

Chairman Onkar Kanwar said: "The revival in India's economic health has resulted in a 5% higher production in India compared to the same quarter last year. We hope this trend will continue. But what is heartening is a bettering of internal efficiencies and improved current asset management leading to a healthy bottom line. Throughout the year, we have been working on our cash and cost management, which is finally showing in the results."

Apollo Tyres' India Operations has reduced the number of days of raw material inventory by 37% and finished goods stocks by 15%. Debt collection also improved.

The company expects production at its new Chennai 'green field' project to begin here towards the end of this calendar year with a capacity of 8,000 passenger car radial and 3,000 truck-bus radial tyres per day.